Tax on Sinners

The Sin Tax Law is set to be sign by President Aquino anytime soon and it is suppose to take effect starting January 1, 2013. Through this new law the government expects to generate revenues of Pesos 34 billion on the initial year. Around 15 percent will be allocated to local tobacco farmers and the rest to national health care programs.

The Sin Tax Bill or Law was premised on the negative health and social impact of alcohol and tobacco consumption. It is by all measure a sumptuary tax, a tax on undesirable social habits like smoking and drinking alcoholic beverages. It is a non-discriminatory tax levied to all social classes, meaning regardless of one’s buying capacity, rich and poor will pay the same amount of tax. Theoretically, the poorest sector should necessarily reduce consumption of alcohol and tobacco, at least for products that have this tax.  But would it prevent the poorer class to stop or reduce consumption? Well, lets see!

Alternative means and sources will sprout like mushrooms. The olden days of La y ' Baena’s would probably come back to life. These are unfiltered cigarettes wrapped in brown papers. I remember my Lola’s on both sides smoked them inverted with the burning end inside their mouth while bathing in their  “batalans” or wringing “labadas “ by the waterwell, and do you know how long they wringed their clothes and took their bath on those days to include the “libagan“ session using a coarse stone? Well, make a guess! “Pinos” of Nasugbu, Batangas, distilled from sugar cane may have a grand future. What about the “Lambanog” of Quezon, the “Basi “of the Ilocos Region. Marlboro Lights may now be labeled “Mamburao Lights”. Let’s not forget the “Tuba” contained in a 4” x 3’ bamboo cane. They use to carry and peddle them outside schools. Now, what is the point? The point is the revenue objective may be met but not the prevention premise of this law, and that is all there is to it.